2025 HSA/HDHP Limits

2025 Update: Essential HSA & HDHP Contribution Limits

The IRS has announced updated financial limits for health savings accounts (HSAs) and high deductible health plans (HDHPs) for the 2025 plan year. These adjustments, released in Revenue Procedure 2024-25 on May 9, 2024, are part of the annual review to keep pace with inflation.

HSA and HDHP Changes for 2025

Health Savings Account

The maximum contribution limits for Health Savings Accounts (HSAs) have been updated. For individuals with self-only coverage, the limit has increased to $4,300, up from $4,150. Meanwhile, those with family coverage will see their limit increase to $8,550 from $8,300. Additionally, the "catch-up" contribution for those aged 55 and older remains unchanged at $1,000.

High Deductible Health Plans

The minimum deductible for self-only coverage under a High Deductible Health Plan (HDHP) will increase to $1,650, up from $1,600. The deductible for those with family coverage will rise to $3,300 from the previous $3,200. Regarding HDHP out-of-pocket maximums, the maximum out-of-pocket expense for individual plans will increase to $8,300, up from $8,050. Meanwhile, family plans will have their limit raised to $16,600 from $16,100.


Employer Action Steps

Employers offering High Deductible Health Plans (HDHPs) need to reassess the plan’s cost-sharing parameters—including the minimum deductible figures and the caps on out-of-pocket expenses—for the upcoming 2025 plan year. Additionally, organizations that permit employees to contribute to Health Savings Accounts (HSAs) on a pre-tax basis should revise their benefit communications to reflect the new, higher contribution limits.

Discover How CBIZ Can Enhance Your Health Savings Plan Administration.

2025 Update: Essential HSA & HDHP Contribution Limitshttps://www.cbiz.com/Portals/0/Images/CBIZ_HCM_article_hsa_limits-1.png?ver=VK-rt_FKVM7Sq__OSEIOyw%3d%3dhttps://www.cbiz.com/Portals/0/Images/CBIZ_HCM-HSA-1.png?ver=7vAPK9SXIjVbZnnO6ZI76w%3d%3dPrepare for the future with the latest 2025 HSA and HDHP limits. This is essential information for employers and employees planning for the upcoming year.2024-05-10T17:00:00-05:00Staying current with the latest 2025 HSA and HDHP limits is crucial. Review the numbers and prepare for a successful year ahead!Employee ManagementEmployee BenefitsHRIS SolutionsPayroll ServicesYes